To Have and to Hold - Commitments in Investing

KALAMAZOO, Mich. - March 22, 2016 - PRLog -- Long-term commitments in relationships and investing

Making a commitment takes careful consideration. After all, if you're going to put your time, energy (and money) into something that's important to you, you should consider the risks and benefits. Although it might not seem obvious, there are many similarities between relationships and investing. Think about it: Both relationships and investing take patience, commitment and an understanding of what you're entering into. And, there are always ups and downs.

Seeking compatibility

Without attention and energy, your relationships will begin to suffer. The same is true with your investment strategy. If left unchecked, your financial strategy could begin to fall apart. Taking a closer look, your efforts with both relationships and investing can be broken-down into four points.

1. Quality - When it comes to investing, select a mix of quality investments designed to help meet your goals and risk tolerance, rather than guessing which ones you think will perform the best. Similarly, when you're in the beginning stages of a relationship, you want to make sure that special someone shares your same values.

2. Don't guess - None of us has a crystal ball. So, don't try to guess which individual investments will perform best. Instead, regular communication with your financial advisor is always a good idea. Being open about where you are today and where you want to be in the future can ensure you're on the right track to success.

3. Stay invested - You're in this for the long haul. That means you should prepare to stay invested as the market becomes more volatile. Sticking with your investment strategy even in turbulent markets is one of the most important lessons because those who exit for the sidelines may fail to reinvest. Buy-and-hold is a simple strategy, but it's not always easy to implement. Why? Because it means staying invested when it feels like you should sell, and doing nothing when you most want to make changes.

4. Review/check-in - Staying connected with your loved ones and friends is part of maintaining a relationship. Likewise, it's important to review your investments regularly and rebalance your portfolio when appropriate. Regular portfolio maintenance can help keep your investments from veering off course, and it can help keep your portfolio aligned with your long-term financial goals.

Through thick and thin

When it comes to matters of investing your money or your emotions, look at the big picture, what's ahead for the long-term. The benefits of staying invested usually outweigh the short-term mindset of "the grass is always greener on the other side."

Talk with your Edward Jones financial advisor to help make sure your strategy stays on track toward meeting  your long-term financial goals - in good times and in bad times. If you're not sure how to get started, find out if an Edward Jones financial advisor is a good match for your goals.